Purchase of monorail by LVCVA finalized this week
The Las Vegas Convention and Visitors Authority is preparing to take possession of the Las Vegas monorail system.
In two meetings this week, LVCVA’s board of directors will consider on Tuesday to officially lift the ban on potentially competing transportation systems in the Las Vegas monorail non-compete zone and will award the competition rights to The Boring on Thursday. Co., Elon Musk’s Tunnel. -company of burrowers.
LVCVA’s $ 24.26 million acquisition of the 3.9-mile elevated electric transit system is expected to close on Wednesday after U.S. bankruptcy court judge Natalie Cox approved the sale during a hearing on November 24.
At LVCVA’s regular board meeting on Tuesday, it is expected to waive the non-compete clause, which would pave the way for The Boring Co. to build an underground transportation system it will call Vegas Loop.
Musk’s The Boring Co. is set to test its three-station, mile-long passenger transport vehicle under the Las Vegas Convention Center and is negotiating with Clark County to build its extensive Vegas Loop, which Would include approximately 15 miles of tunnels connecting the resorts along the The Strip and downtown Las Vegas with the McCarran International Airport and the Allegiant Stadium.
Once cleared, The Boring Co. plans to build the system with stations paid for by stations that wish. Boring would then operate the system, but the company has not indicated what the tariffs would be or how much it expects to invest in the system.
The Boring Co.’s plans would include tunnels on the east side of Las Vegas Boulevard that fall into the Monorail non-compete zone. Ownership of the Monorail by LVCVA gives it the power to waive the non-compete zone.
This should be completed at a special meeting Thursday afternoon.
While taking possession of the non-compete agreement was a major reason for acquiring the Monorail, LVCVA still plans to operate the Monorail. LVCVA President and CEO Steve Hill said when demand for visitors is sufficient in the city, the monorail will restart.
In this case, a company known as Western Management Group will operate the system. In October, LVCVA’s board of directors voted 12 to 1 to have Western manage the day-to-day operation of the system for no more than $ 500,000. Several former executives of Las Vegas Monorail Co., including President and CEO Curtis Myles, will now work for Western.